23 May 2014

the market seem to just melt upwards, while stocks of different variety seem to make new lows.  The disconnect is worrying, but our ST is still right on track.  The upward bias made on the 21st of May is still strong.  Yesterday I mentioned that I suspected a move lower but that the indicator is still in an upward trend.  If we followed our hunch then we would have been wrong.  This is why the ST is a great confirmation that if the trend has not changed that we should not either.  Our MT is still on the UPWARD trend which is also still strong.

MT: UP
ST: UP
PA: UP

The chart below shows 2 scenarios that will or should play out in the next few trading days so we should keep an eye on them.